Typically when a debtor files for bankruptcy, in Southern Florida, two things can happen:
1. they get their discharge
2. they get their case dismissed
A debtor filing for bankruptcy is ideally seeking a discharge of their debts, because a discharge means that the debts are wiped out and the bankruptcy period is over. In a Chapter 7 bankruptcy the discharge takes approximately 100 days and in a Chapter 13 bankruptcy the discharge takes between 36 and 60 months. If a bankruptcy gets dismissed it means that the debts are still alive and the debtor can be sued on the debts. Here are some reasons that a bankruptcy case can be dismissed.
Failure to File the Correct Papers
When a debtor files for bankruptcy they need to file certain documents with the court. If these documents are not filed timely it could cause your case to get dismissed. Typically it’s the attorney’s job to file these papers and occasionally cases get dismissed for missing documents. This is usually an easy fix for an attorney and will allow for the case to get back on track.
Failure to Make Payments
A debtor in a Chapter 13 bankruptcy is required to make monthly payments for the duration of their case (36 or 60 months). If a debtor falls behind on payments the trustee can seek to have their case dismissed for failure to make payments.
A trustee, the US Trustee’s Office, or a creditor can seek to have the bankruptcy dismissed for a bad faith filing. This typically involves a debtor who files for chapter 7 but doesn’t qualify for a chapter 7 or a debtor who files for chapter 13 but is over the debt limitations for a chapter 13.
If you are thinking of filing for bankruptcy in South Florida and would like to speak to an experienced Miami Bankruptcy attorney then please contact Ofer Shmucher of Shmucher Law, PL by calling 305.741.5553 or 954.309.5559. We offer free consultations 7 days a week and offer evening appointments.
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